[WTO Case Review Series No.7] China—Measures Related to the Exportation of Various Raw Materials (DS394, DS395, DS398): A state of play and challenges of interpretation related to disciplines on export restraints

Author Name KAWASHIMA Fujio  (Nagoya University)
Creation Date/NO. August 2013 13-P-015
Research Project Comprehensive Research on the Current International Trade System
Download / Links


Rapid economic development in emerging economies including China has been transforming the structure of the world economy. One such phenomenon is an international struggle for resources, in which resource-endowed countries tend to resort to export restraints of resources as one of their tools. Until very recently, disciplines on export restraints in the General Agreement on Tariffs and Trade/World Trade Organization (GATT/WTO) were regarded as being excessively weak. However, the reports by the Panel and the Appellate Body in China—Measures Related to the Exportation of Various Raw Materials have significantly clarified, for the first time since the establishment of the WTO, the interpretation of major legal disciplines on export restraints, such as Articles XI:1, XI:2(a), XX(g) of the GATT. After introducing the factual background and the findings of the reports, this policy discussion paper examines the practical implication they have for China — Measures Related to the Exportation of Rare Earths,Tungsten and Molybdenum, in which Japan has also joined as one of the complainants and gives some perspectives on the challenges of legal disciplines on export restraints.